European Markets Finished Mixed After Early Gains Eroded

(RTTNews) - The European markets ended the first session of the new trading week with mixed results. The markets got off to a positive start Monday following the release of the better than expected German business sentiment report. However, the markets pared their gains in the afternoon.

The late reversal was partly due to the pullback in crude oil prices. Weakness in metal prices also weighed on mining stocks, while financial stocks also struggled. Investors were also in a cautious mood ahead of this week's policy meetings for both the Bank of Japan and the Federal Reserve.

The pan-European Stoxx Europe 600 index dipped 0.01 percent. The Euro Stoxx 50 index of eurozone bluechip stocks increased 0.03 percent, while the Stoxx Europe 50 index, which includes some major U.K. companies, lost 0.29 percent.

The DAX of Germany climbed 0.50 percent and the CAC 40 of France rose 0.16 percent. The FTSE 100 of the U.K. declined 0.30 percent, but the SMI of Switzerland finished higher by 0.00 percent.

In Paris, household equipment manufacturer SEB soared 7.07 percent after saying it expects to achieve an organic sales growth above 5 percent and an increase in operating result from activity above 10 percent in 2016.

LVMH increased 1.51 percent, after it sold Donna Karan International Inc. to U.S. company G-III Apparel Group for $650 million.

L'Oreal gained 0.37 percent. The cosmetics company has agreed to buy IT Cosmetics, one of the fastest growing prestige beauty brands in the United States, for a cash purchase price of $1.2 billion.

LafargeHolcim rose 0.35 percent. The cement giant has signed a pact with Siam City Cement Public Company Limited for the divestment of its interest in Holcim Lanka for an enterprise value of $400 million.

Air France KLM fell 2.32 percent as its cabin crew unions prepare to begin a seven-day walkout this week.

In London, casino operator Rank Group dipped 0.51 percent and online gambling operator 888 Holdings gained 3.38 percent, while ailing bookmaker William Hill soared 4.85 percent. William Hill said it received a "highly preliminary" approach from 888 Holdings and Rank Group regarding a potential combination.

Ryanair Holdings surged 6.33 percent after reiterating its fiscal 2017 profit forecast.

Aberdeen Asset Management advanced 0.60 percent after releasing its trading update for the nine months to June 30.

Consumer electronics giant Philips Electronics gained 2.10 percent in Amsterdam after backing its FY16 outlook.

Julius Baer Group climbed 2.91 percent in Zurich after the private banking group reported an increase in its first-half profit.

Mobile telecoms gear maker Ericsson AB rallied 3.45 percent in Stockholm as its chief executive Hans Vestberg stepped down with immediate effect after more than six years at the helm.

Germany's business sentiment weakened in July as the 'Brexit' vote made businesses less optimistic about their future. Nonetheless, they assessed a slight improvement in the current situation. The business climate index fell less-than-expected to 108.3 in July from 108.7 in June, survey results from the Munich-based Ifo economic institute showed Monday. The expected score was 107.5.

U.K. industrial orders declined further in July, the Industrial Trends Survey from the Confederation of British Industry showed Monday. The total order books balance dropped to -4 percent in July from -2 percent in June. The export order books declined notably to -22 percent from -14 percent in the prior month.

British business confidence plunged to its lowest level in seven-and-a-half years, after the surprise "Brexit" vote, survey results from the Confederation of British Industry (CBI) showed Monday.

The quarterly CBI Industrial Trends survey showed that 52 percent of firms were less optimistic about the general business situation than three months ago, while 5 percent said they were more optimistic, giving a balance of -47.

That was the lowest figure since January 2009, when it was -64, the survey said. Optimism about export prospects for the year ahead also fell, down to -11.